Mozambique: Water Private Sector Contracts – OBA for Coverage Expansion

In Mozambique, household and yard tap connections have only been available to those who can afford to pay the connection costs. Therefore, low-income communities who cannot afford the connection fees have been excluded from getting service. This project introduced an innovative Output-Based Aid approach, designed to ensure ownership and demand-driven service provision, and to set the basis for long-term operational and financial sustainability. The objective of the Project was to increase access to piped water for the poor in the city of Maputo. The project was implemented by Mozambique’s Water Supply Assets and Investment Fund (FIPAG) to extend access to safe, reliable water services to some of Mozambique’s poorest households.